If the aggregate supply curve is the horizontal an increase in government spending will result in which of the following?
A) Increase/Increase
B) Increase/No change
C) Increase/Decrease
D) No change/Increase
E) No change/No change
Ans: B) Increase/No change
Economics
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The effects of borrowing by the federal government would be studied by a microeconomist rather than a macroeconomist
a. True b. False Indicate whether the statement is true or false
Economics
In which of the following cases can we be certain that a natural resource has become scarcer?
a. both the demand for the resource and the supply of the resource have increased. b. both the demand for the resource and the supply of the resource have decreased. c. the demand for the resource has increased and the supply has decreased. d. the demand for the resource has decreased and the supply has increased.
Economics